Eurozone unemployment hits a record 12 percent

posted at 12:01 pm on April 2, 2013 by Erika Johnsen

Yikes. The end of 2012 marked a collective economic contraction in the eurozone for the fifth straight quarter, and the 17-member currency bloc is well on track to logging their sixth:

Official figures for first-quarter economic activity won’t be released until May 15, but the monthly Eurocoin measure of euro-zone output released Friday signaled a contraction for March, having earlier signaled declines in activity in January and February.

The measure, which is compiled by London-based Center for Economic Policy Research and the Bank of Italy, also showed a drop in gross domestic product in each of the three months of the fourth quarter, an indication borne out later when official data showed the euro-zone economy shrank by 0.6%.

That dreary outlook is further corroborated by the revised January and today’s February jobs reports, which reported eurozone unemployment coming in at a whopping 12 percent — the highest figure since the currency was first launched in 1999.

The number of people unemployed in the 17 member states rose by 33,000 during [February], to hit 19.07 million, the statistics agency Eurostat said. …

The jobless figures from Eurostat also showed that Spain’s unemployment rate hit 26.3% in February, while the rate in Portugal remained stable at 17.5%.

The lowest rates were recorded in Austria (4.8%) and Germany (5.4%), both unchanged from January. The overall unemployment rate for the eurozone in January was revised up from 11.9% to 12%. …

The fresh high in the unemployment rate “is further confirmation of the underlying weakness of the economy”, said Jennifer McKeown at Capital Economics.

“The rise in unemployment was the 22nd in a row, making this labour market downturn the most prolonged since the early 1990s.”

And this is all from February, before the Cyprus situation even got started — it’s relative impact might not be huge, but I’d doubt that that chaos and the accompanying market-jitters are going to do anything helpful for business confidence or the labor market, nor for the EU’s long-term stability.

These are just more reminders of what happens after repeated failures to substantively deal with brewing debt crises and practice fiscal responsibility — but hey, it’s cool, because “we don’t have an immediate crisis in terms of debt” and “for the next 10 years, it’s gonna be in a sustainable place,” or something.

Very true. Further, the employment regs are so onerous that many employers just go as long as they can without hiring, especially young people, because it just isn’t worth it. EU rules and then some further labour laws in countries like France and Italy have created an almost “tenure-like system” in the private sector. Survive the probationary period and you are nearly impossible to terminate.

Well then, it sounds like they’re incompetent and being incompetent. They’ll have to try more. But less. Both less and more at the same time; Ob the Great and Mighty can give them some advice on golf playing while lying about numbers he doesn’t understand.

I predict that Russia will take over Cyprus, in time, via Gazprom. Russia will not be idle when the oligarchs lost 60-90% of their legitimately deposited money in Cyprus. Putin has his pockets lined from them.

If the EU, who knew for years about Cyprus’ money heaven, had an issue with how they made their money they should prosecute them. However, what the EU blessed and executes now is official robbery and looting of the first rate, for shame. May all in the EU who stand for it go to Hell, pronto, with Merkel up front. It sets an incredibly bad precedent.

In related news, did you all see the release of the list of names of people that got their money out of Cypress? Today the Cypriot Financial Minister resigned to aid the investigation into corruption.

LOL

dogsoldier on April 2, 2013 at 12:42 PM

The EU heads should be tried and hung, every one of them, for looting.

——–
The Cypriot banks outside of Cyprus (London…) were open while the local ones were closed. You’d have had to be an idiot to keep your dough inside, while Merkel and her idiots were looting you to an unknown, and still not determined percentage.

If the oligarchs are guilty of how they made their dough it’s a different matter. For being looted, officially, Merkel and co. s/b hung. I don’t care how much anyone will rationalize it – it is Looting of one’s money and should never be condoned by legitimate governments, unless such are tyrants and thugs.

Russia will not be idle when the oligarchs lost 60-90% of their legitimately deposited money in Cyprus. Putin has his pockets lined from them.

Schadenfreude on April 2, 2013 at 12:46 PM

Putin may wind up, effectively, taking over Cyprus, but it won’t be because Russian oligarchs lost 60-90% of their deposits. Like the wealthy Cypriots, they got much of their money out of the country before the so-called ‘bail-in.’ It is the middle to upper-middle class Cypriot saver, businesses (whose payrolls were seized), and smaller foreign investors.

Nevertheless, if Russia can get its hands on Cyprus’ hydrocarbons by helping out the country, it will.

No longer is Parliament the writer of laws in the UK. Most of the laws, rules and regulations that are governing the UK come out of Brussels and not even the EP, at that. This has been confirmed by Office for National Statistics and the National Audit office, and confirms studies done by organisations such as Open Europe. According to a report by the Tax Payers Alliance in 2010, EU-imposed regulation cost Britain £120 billion a year.

The argument is that it cuts both ways. I did not say you were specifically wrong. But your argument taken to the logical ends means Anarchy. No one in control, just a bunch of gangs.

I agree that the EU is totally screwed up, and mostly due to too much government.

A agree that the US is totally screwed up, and pretty much all due to too much government.

If you want me on the side of smaller government, then you need to join me in getting rid of the welfare entitlement state. Until then, I am firmly on the side of, if it is destructive and illegal now, it should remain so. You can suffer until you help me get what I want.

I just spent a week in Ireland and talked to a lot of people. Totally anecdotal, but they do not like the EU.

Bob’s Kid on April 2, 2013 at 1:18 PM

Yeah, right, but they did when the EU was pouring their ‘structural’ funds in there…Not so anecdotally, they had the chance to vote ‘no’ on the EU treaty not too long ago,it didn’t happen though…to the Brits’ credit, if they were given the opportunity of a referendum, they would actually vote ‘no’… So, when the Brits say that they don”t like the EU, they actually mean it…

If you want me on the side of smaller government, then you need to join me in getting rid of the welfare entitlement state. Until then, I am firmly on the side of, if it is destructive and illegal now, it should remain so. You can suffer until you help me get what I want.

astonerii on April 2, 2013 at 1:12 PM

Are you bloody kidding me? I went “over the hill” for demolishing the ENTIRE ENTITLEMENT STATE, including Medicare and Social Security in the US, many, many, many moons ago.

The EU is f*cked up for many reasons. One of the primary reasons is that it was the brainchild of 1940s/50s European Soviet-lovers, who wanted “A United States of Europe” with “USSR” power structure & constitution. Another is that it is fundamentally anti-democratic with 27 unelected, unaccountable apparatchiks and their legions of pointy-headed bureaucrats. The people have no say.

One example is the death penalty. Member states had either abolished the DP on their own or had their laws abolished by previous EU treaties; however, it was reintroduced in a footnote to the Treaty of Lisboa, upon neither the whole nor part of which the overwhelming majority of Europeans were allowed to vote. In its “explanations” and “negative definitions” accompanying the fundamental rights, the Charter of Fundamental Rights of the European Union allows a reintroduction of the death penalty in case of war or imminent war, but also the killing of humans to suppress insurgency or riot.

Norway cannot execute Anders Behring Breivik for murdering 77 people, but the EU could, theoretically, impose the death penalty on Cypriots rioting because their bank accounts were drained…without a trial.

…but you expect others to untwist your pretzeled arguments…then you tell them to “grow up”.

You’re not a bad person at all, and I grant you all that intelligence and learning (many of us are very learned but prefer to be considered rubes – see hillbillyjim and OEYC). However, by your own words, you often convey things in pretzeled ways, then ‘shoot’ the ones who ‘don’t agree with you, in full’.

Today is not many moons ago. I take individual arguments at face value and evaluate them.

astonerii on April 2, 2013 at 1:32 PM

Then, you haven’t read what I’ve written – REPEATEDLY – on eliminating ALL entitlement programmes and every form of welfare and subsidy.

I wrote about this several times on HA in the last week alone. That’s no many moons ago. I am quite sure that you remember my position on SSM with clarity. Pay closer attention and stop being so selective.

Been debating with the pro gay marriage, pro drug, and pro open borders people on this site quite a bit. They like to throw the term of tyrant around too much. So, in evaluating that sentence, it irritated me due to the lack of limit it had. It does not stand very well on it’s own. It only stands in context.

Also, I do not think that I am as you say, I do in fact not say that if you are not 100% with me you are against me. I argue how, if you truly believe what you say about liberty, then the first step in allowing more freedom is taking the chains of servitude off the necks of those who produce and are forced to subsidize the behaviors you desire to make legal.

Then we can talk about how much burden allowing someone to smoke dope, take crack causes on society and come to a more logical conclusion on what is acceptable while keeping as much liberty as possible and allowing society at large to thrive. Government is a compromise on liberty, if liberty is your only goal, then no government is also.

The lefties don’t limit themselves to one issue at a time. We still don’t have a budget, but they’re pushing SSM, gun control, immigration/amnesty, higher taxes, preventing Keystone Pipeline, carbon tax, and on and on and on.

Been debating with the pro gay marriage, pro drug, and pro open borders people on this site quite a bit. They like to throw the term of tyrant around too much. So, in evaluating that sentence, it irritated me due to the lack of limit it had. It does not stand very well on it’s own. It only stands in context.

Er, we were talking about the EU, not SSM, pro drug, pro open borders.

Also, I do not think that I am as you say, I do in fact not say that if you are not 100% with me you are against me. I argue how, if you truly believe what you say about liberty, then the first step in allowing more freedom is taking the chains of servitude off the necks of those who produce and are forced to subsidize the behaviors you desire to make legal.

You are right. But what we get from many on this site and the contributors is that, we should give up on gay marriage, and focus on… We should give up on drugs and focus on… We should give up on everything so we can focus on…

I agree, we can focus on everything. But when my own “side” (are they really?) is sabotaging any hope on the BIG items by always arguing for letting the liberals win on the supposedly small items, I get a little less than forgiving with them.

Welfare and Entitlements drive almost every single negative aspect of this nation. Add in the education system and the media, which I think are more symptoms of the prior, and that pretty much sums up what drives big government.

This is the same problem that the EU has. It is addicted to welfare and entitlements. They are about 10 years advanced of us in this regard.

I’m not in disagreement much with you, just on your ‘pretzeled’ style of argument, which by your own words makes you misunderstood. In times of real war I’ll be on your side, or you’ll be on mine, for our survival, no doubt.

The lefties don’t limit themselves to one issue at a time. We still don’t have a budget, but they’re pushing SSM, gun control, immigration/amnesty, higher taxes, preventing Keystone Pipeline, carbon tax, and on and on and on.

Welfare and Entitlements drive almost every single negative aspect of this nation. Add in the education system and the media, which I think are more symptoms of the prior, and that pretty much sums up what drives big government.

This is the same problem that the EU has. It is addicted to welfare and entitlements. They are about 10 years advanced of us in this regard.

astonerii on April 2, 2013 at 2:10 PM

RWM and I have given up very lucrative endeavours/profits to starve the Looters. Have you?

This is the same problem that the EU has. It is addicted to welfare and entitlements. They are about 10 years advanced of us in this regard.

astonerii on April 2, 2013 at 2:10 PM

It is further advanced than 10 years although Obama is doing his best to catch up.

One might be tempted to argue that the welfare state is the result of breakdown in societal “norms,” but I would argue that Europe proves otherwise. In the UK, for example, the real establishment of the welfare state – during the Attlee government – preceded societal breakdown by probably 2 decades. It is the addiction of welfare and dependency that destroys the family and the individual. They may become self-perpetuating, but it has been, in many cases, government that has driven the societal changes rather than the so-called ’60s liberation or other ‘social revolution.’

Socialists, fascists, communists, big government types, believers in liberation theology, people who want to fundamentally transform the nation, and most American Democrats. I admit to using the term because it seems to annoy them.

RWM and I have given up very lucrative endeavours/profits to starve the Looters. Have you?

Schadenfreude on April 2, 2013 at 2:16 PM

I cut back on over time after Bush and McCain got their TARP. As for lucrative endeavors, my nature has never been to pursue them. I joined the Marines rather than take a partial to MIT that I knew I really could not afford. If they would have given me a free ride, I think at that time I would have jumped on it though. Thought they would allow me to attend as a veteran, but by then, the ship had sailed with my migraines. Since then, I think you can count on one hand the number of weeks I put in over time hours.

I am terrible with names, one of several mental failures I have, second languages being another. Sorry to have tangled with you. You have it right, government is driving these social changes. With intent and using Marx as the template.

Should be called regressives. They want to progress back to when windmills were a primary source of power. They want to progress back to when people were owned by the state. They want to progress back to when there were actual classes of citizens which were immutable. They want to progress back to when people barely were able to produce what they needed to consume to survive. They want to progress back to when the only people entitle to own arms were the upper class and their servant dogs.

French ex-minister, a Socialist, admits lying about Swiss account to evade paying French taxes

France’s former budget minister Jérôme Cahuzac, who until two weeks ago was responsible for cracking down on tax evasion, admitted to having hidden funds in a secret Swiss bank. Judges have now placed Cahuzac under formal investigation.

France’s former budget minister Jérôme Cahuzac admitted on Tuesday that he had held a secret bank account abroad – a fact that he has strenuously denied until now.

His admission comes two weeks after he resigned from the government over allegations that he had siphoned funds into a UBS bank account in Switzerland in order to avoid paying taxes in France.